TITLE IV--STUDENT ASSISTANCE

PART G--GENERAL PROVISIONS

SEC. 490C. ADVISORY COMMITTEE ON STUDENT FINANCIAL ASSISTANCE

Section 491 (20 U.S.C. 1098) is amended--

(1) in subsection (b)--

(A) in the second sentence, by striking `and expenditures' and inserting `, expenditures and staffing levels'; and

(B) by inserting after the third sentence the following: `Reports, publications, and other documents of the Advisory Committee, including such reports, publications, and documents in electronic form, shall not be subject to review by the Secretary.';

(2) in subsection (e)--

(A) by redesignating paragraphs (3), (4), and (5), as paragraphs (4), (5), and (6), respectively; and

(B) by inserting after paragraph (2) the following:

`(3) No officers or full-time employees of the Federal Government shall serve as members of the Advisory Committee.';

(3) in subsection (g), by striking `(1) Members' and all that follows through `of the United States may each' and inserting `Members of the Advisory Committee may each';

(4) in subsection (h)(1)--

(A) by inserting `determined' after `as may be'; and

(B) by adding at the end the following: `The Advisory Committee may appoint not more than 1 full-time equivalent, nonpermanent, consultant without regard to the provisions of title 5, United States Code. The Advisory Committee shall not be required by the Secretary to reduce personnel to meet agency personnel reduction goals.';

(5) in subsection (i), by striking `$750,000' and inserting `$800,000';

(6) by amending subsection (j) to read as follows:

`(j) SPECIAL ANALYSES AND ACTIVITIES- The Advisory Committee shall--

`(1) monitor and evaluate the modernization of student financial aid systems and delivery processes, including the implementation of a performance-based organization within the Department, and report to Congress regarding such modernization on not less than an annual basis, including recommendations for improvement;

`(2) assess the adequacy of current methods for disseminating information about programs under this title and recommend improvements, as appropriate, regarding early needs assessment and information for first-year secondary school students;

`(3) assess and make recommendations concerning the feasibility and degree of use of appropriate technology in the application for, and delivery and management of, financial assistance under this title, as well as policies that promote use of such technology to reduce cost and enhance service and program integrity, including electronic application and reapplication, just-in-time delivery of funds, reporting of disbursements and reconciliation;

`(4) assess the implications of distance education on student eligibility and other requirements for financial assistance under this title, and make recommendations that will enhance access to postsecondary education through distance education while maintaining access, through on-campus instruction at eligible institutions, and program integrity; and

`(5) make recommendations to the Secretary regarding redundant or outdated provisions of and regulations under this Act, consistent with the Secretary's requirements under section 498B.';